Gold-focused Calidus Resources has begun trading on the ASX after raising $7.8 million from investors and completing a reverse takeover of biotech company Pharmanet Group.
Perth-based Calidus, formerly known as Keras Resources, issued 350 million shares at 2 cents each and 87.5 million options at 1 cent each as part of the reverse takeover, reaching its prospectus target of $7.87 million.
The explorer owns the Warrawoona gold project in the Pilbara, which comprises the Klondyke prospect.
At midday, Calidus shares were steady at 2 cents a share.
The reverse takeover follows the practice of a number of local businesses in recent years, with many ASX-listed exploration companies having taken opportunities to reinvent themselves as technology and biotech companies via backdoor listings.
“I am very pleased to report on the successful listing of Calidus on the ASX. With the commencement of our maiden 10,000-metre drilling program on granted mining leases already under way, I look forward to reporting on results in the near term as we systematically drill out this advanced gold project,” managing director David Reeves said.
“This is the first time the tenements have been consolidated under one ownership with the previously fragmented ownership limiting the chances of development of this outcropping, high-grade gold project.
“In addition, no modern exploration has been carried out over the bulk of the tenements with the last main campaign being conducted in the early 1990s.
“There are presently over 38 kilometres of mapped, but largely untested shears located on the company’s tenements.”